New Chinese Index Fund Offers Low-Risk Investment Options

The new Hang Seng Benchmark Exchange-Traded Scheme, recently launched by Benchmark Asset Management Company is an index fund, which is considered a good investment option for those interested in low-risk investments. The scheme will soon be listed on the National Stock Exchange.
The investment strategy of the scheme is as follows: the fund manager will split the assets by investing some of them in securities constituting the index and others – in low-risk profile money market instruments.
The scheme is believed to be attractive to those considering investing in China as it allows for the elimination of the active fund management risk. In addition, China is perceived by many investors as a low-risk country since it managed to withstand the world recession as it continued on the growth path while other countries were yet to recover from the recession.